A pepper purchasing point (illustration image)
Among the agricultural products exported in the leading position of Vietnam in the world such as cashew nut, coffee, rice, etc., pepper has the lowest export turnover, at 794 million USD in 2012, but there are many advantages that other products are not easy to obtain.
With about 50,000 hectares, accounting for 2.5% of the total of nearly 2 million hectares of 5 industrial crops but pepper accounting for over 8% of export value, of which the export value of pepper about 4 times that of rubber, 3.8 times of cashew kernels, 2.6 times of coffee, 6 times of tea.
Already know how to regulate
Vietnamese pepper has taken radical steps and is earlier than other agricultural products when pepper farmers have crossed the psychological threshold: at high prices, they keep their goods, but when prices fall, they sell out massively, so they are often sold by the government. price pressure import. For about 6 years now, Vietnamese pepper has increasingly shown its leading role in the world market in terms of price, so the price has almost gone up. In 2007, farmers sold about 30,000 VND/kg, in 2008 it was 50,000 VND/kg, then 80,000 VND/kg and this 2 years fluctuated at 120,000 VND/kg.
According to Mr. Do Ha Nam, Chairman of the Vietnam Pepper Association (VPA), it is worth mentioning that the “rule” of prices rising and falling according to the cycle of several years of pepper has almost been broken when it is farmers who are temporarily store and regulate sales. However, it is not possible to be subjective and satisfied with the results achieved. Although leading the world market, there is another fact, the price of pepper in Vietnam is always lower than the price of India, Brazil, Malaysia… In 2012, the Vietnamese black pepper price was about 295 USD/ton lower than other countries’ prices. , in the first 3 months of 2013, this gap was more than 380 USD/ton. Vietnam white pepper in 2012 sold an average of 9,299 USD/ton, lower than the world price 89 USD/ton, but last time sold for 8,742 – 8,874 USD/ton, lower from 450 – 500 USD/ton. Explaining this, Mr. Do Ha Nam said, the main difference is that the export pepper produced by countries such as India and Brazil meets ASTA standards (sterilization according to international food hygiene and safety standards of Vietnam). US) so the price is higher, while Vietnam still processes with steam. Therefore, the price of ASTA standard is always higher than 200-300 USD/ton.
Add a few hundred million USD for export/year if…
Although there are quite basic steps, but Vietnamese pepper has not been able to completely get out of the general situation of other export agricultural products of Vietnam, that is, raw export still accounts for a very high proportion. In 2012, more than 85% of black pepper products were exported.
According to Mr. Do Ha Nam, if the processing is deep, the added value is much larger when exporting (maybe up to hundreds of millions of USD/year). Therefore, in order for the pepper industry to achieve an export turnover of over 1 billion USD/year and more importantly, consumers in other countries know more about Vietnamese pepper, when now, although accounting for more than 50% of the total Despite the global pandemic, but few people know it’s Vietnamese pepper (this is similar to coffee), VPA sets out 3 directions that the pepper industry needs to take in the coming time. That is, first, businesses need to have a strategy and determination to gradually shift the export rate black pepper The higher the white pepper export value, the more value it brings to the country. The average export price of white pepper in 2012 was $9,176/ton compared to $6,390/ton black pepper. The difference in value between these two types of pepper is up to 70%. The second direction is to increase the production of ASTA pepper (according to US standards). The price of black pepper due to steam treatment is 200-300 USD/ton lower than ASTA standard. Malaysia and Indonesia are very strong exporters of ASTA pepper, Vietnamese enterprises have not been able to compete when the Vietnamese pepper industry is still young compared to these countries. Currently, the rate of Vietnam’s ASTA pepper exported to European countries and the US is only about 15%. Therefore, it is necessary for VPA as well as each enterprise to be more active in trade promotion and market search to be able to increase exports of this high-value ASTA pepper product.
If the above two directions can be implemented in the immediate future, the third direction is more difficult, but VPA believes that it is impossible not to do is to promote the export of powdered pepper. Many foreign enterprises enter Vietnam to process pepper powder very successfully. They also import black pepper from other countries for processing in Vietnam and then re-export to supply many supermarkets around the world.
According to VPA, this is something that needs to be gradually changed to focus on investment, in which the job must first build a brand name and it is necessary to realize that food safety and hygiene is a very important issue. Industry pepper There’s still a lot of work to be done, a lot of work to be done pepper become a product that not only leads the price but more importantly enhances the product’s value pepper Vietnam.
Chu Se Pepper Association (Gia Lai) has just established a Material Connection Center pepper to reduce the middle layer. This center will help businesses buy and sell directly with farmers with the goal of farmers selling at high prices and businesses buying quality products. The association has equipped a test kit certified by the Technical Center for Standards, Metrology and Quality 3. If successful, this will be a model that not only ensures quality, restricts intermediaries, but can also help trace the origin of goods. Hoang Phuoc Binh, Vice President of Chu Se Pepper Association
Cong Phien (SGGP Newspaper)
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